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331, a liquidating distribution is considered to be full payment in exchange for the shareholder’s stock, rather than a dividend distribution, to the extent of the corporation’s earnings and profits (E&P).The shareholders generally recognize gain (or loss) in an amount equal to the difference between the fair market value (FMV) of the assets received (whether they are cash, other property, or both) and the adjusted basis of the stock surrendered.However, these documents are to be prepared and retained for submission upon IRAS' request.The liquidator must ensure that the books and papers of the company are retained for a period of at least five years (instead of two years previously) from the date of dissolution of the company.Overview of Mutual Agreement Procedures (MAPs)- To mention estimated turnaround time for MAP cases upon submission of complete application.Overview of Advance Pricing Arrangements (APAs)- To mention compulsory spontaneous exchange of information on cross-border unilateral APAs with certain jurisdictions.

After the basis of a block of stock is reduced to zero, you must report the part of any later distribution for that block as a capital gain.

331 when they receive the liquidation proceeds in exchange for their stock.

If the corporation distributes its assets for later sale by the shareholders, the assets generally “come out” of the corporation with a basis equal to FMV (and with the related recognition of gain or loss under Sec.

If you acquired stock in the same corporation in more than one transaction, you own more than one block of stock in the corporation.

If you receive distributions from the corporation in complete liquidation, you must divide the distribution among the blocks of stock you own in the following proportion: the number of shares in that block over the total number of shares you own.